Amazon, one of the largest global online retailers in the world, is teaming up with Snapchat to launch a visual search tool for consumers to easily locate and purchase items with a simple scan. This pairing is set to further harmonize the dynamic between technology and the millennial demographic and has the potential to substantially increase traffic to Amazon’s retail website and replenish Snapchat’s recent loss of 3 million users. The option to shop via social media is becoming significantly more popular, particularly with younger audiences, who tend to exercise heavier use of social media.

How does it work?

If a Snapchat user spots an item they would like more information on, they can simply point the app’s camera on the product (or barcode), and press down on the screen for the app to recognize the item. Once the item is recognized, they will receive more information from Amazon and will have the option to purchase the item or search further.

How both Amazon and Snapchat will benefit?

Given that Amazon has been incredibly successful over the years, the company still struggles with its mobile users. On top of Amazon aiding Snapchat in an assisted recovery, there are major benefits to Amazon as well.

Amazon has attempted to successfully launch social and standalone apps in the past, but none were able to compete with the giants that dominate the current social media world. With this partnership, Amazon hopes to receive an even larger student presence and increase additional revenue without an overbearing amount of advertising while Snapchat’s clear goal is to expand its attendance with new and existing users. This partnership aims to give Snapchat users the accessibility to easily search and shop without having to close the app, which is an added bonus.

Over the past year, Snapchat has been searching to regain a sense of momentum after reports of users spending less time on the app. Snapchat hasn’t received encouraging earning reports since it went public with the new redesign in early 2018 and ended up losing 3 million users over the last quarter, a decrease of 2 percent of its users, compared to the previous quarter. Of course, the redesign isn’t the only reason for the app’s decrease in popularity, rather, it’s also the overall lack of engagement. The Pew Research Center in March of 2018 reports that around 78 percent of U.S. internet users aged 18 to 24 actively use Snapchat daily. Additional research commissioned by Snapchat discovers that its initial users are 20 percent more likely to make a purchase via their mobile device and over 60 percent more likely to make impulse buys than the general public.

Brent Thill, the Equity Analyst at Jefferies LLC, Research Division, claims the new feature is “not a game changer.” Thill believes this is something Snapchat must commit to in order to get back on track. Thill believes the new Snapchat feature is a “nice to have, but not a must-have.”This exciting advancement and partnership could be the golden ticket for both companies to extensively benefit from each other’s heavy lifting and attain potential superiority for their brand.

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